We talk a lot about how we are going to revolutionize the insurance industry, and we think it’s time to tell you how exactly we’re planning to do so.
The idea behind the platform we’re developing is rooted in the principles of shared economy: we share cars and homes, why don’t we share risks as well? We call it “crowdsurance” — the community of individuals shared their risks with each other. Crowdsurance is inseparably connected to blockchain, decentralization and cryptocurrency.
In March 2017 we launched our first product for pet owners — Lexi Club. Here’s how it works.
Pet owners chip in about $5/month and get reimbursed up to 80% of the veterinary costs. They also get access to a 24/7 hotline with a vet for consultations. After you sign up using our bot @lexiclub (currently, on Facebook Messenger) or @lexibot (on Telegram), we create a card for your pet and take 5 days for risk-scoring and make sure you are not a fraud and are not planning any scam. After the contract is activated, you go to a vet, send us the bill and we reimburse you within 90 hours. On a user-level, it looks like this:
Now, on the backend, crowdsurance works as a cascading system of pools: sub-pool, pool and super pool. Say, all owners of beagles who signed up for Lexi Club, form a sub-pool. Those who have shepherds and chihuahuas form a pool of dog-owners. And together with other pets-lovers they create a super-pool.
When a new member joins the club, the REGA Risk Sharing platform creates a smart contract for him or her to secure the member’s investment. The investment, or a member contribution, is split between several pools in accordance with the product risk management algorithm. 20% goes to develop the product and and the platform, 80% is crowdsurance coverage.
The same logic is applied to all products we’re planning to develop, and we want to help people insure everything that way: gadgets, cars, homes, health. Right now, we have an ongoing ICO to raise funds to do so, crowdsale begins on October 15th. Check out our whitepaper and ICO schedule if you’re interested in investing, and stay tuned — we have more stories to come.
Thanks to Daria Koshkina for the illustrations.
